Fiat Chrysler to pay $ 9.5 million fine for defrauding investors

Fiat Chrysler to pay $ 9.5 million fine for defrauding investors

September 30, 2020 0 By autotimesnews

Fiat Chrysler Automobiles will pay a fine as part of the settlement of allegations that the company misled investors by not disclosing that it has conducted only a limited internal audit of compliance with the emission regulations.

Fiat Chrysler, which neither acknowledged nor denied wrongdoing as part of the US Securities and Exchange Commission investigation, declined to comment on the $ 9.5 million fine related to the automaker’s diesel emissions scandal.

In January 2019, the Italian-American automaker negotiated a settlement, pledging to pay approximately $ 800 million to settle claims by the US Department of Justice and the California Air Resources Administration for using illegal software that produced false diesel engine emissions test results.

In February 2016, the SEC said Fiat Chrysler had conducted an internal audit that confirmed that its vehicles were in compliance with emission standards, but did not disclose sufficient details of its audit. At the time, EPA and CARB engineers expressed Fiat Chrysler’s concerns about emission systems in some diesel vehicles.

Regulators in 2019 said Fiat Chrysler used “devices” to cheat emission tests in real-world driving conditions.

Note that the US government has stepped up compliance with vehicle emissions regulations after the Volkswagen Group admitted in September 2015 that it was deliberately evading emissions regulations. The German concern has paid more than $ 30 billion in fines and other expenses.